Financials May 24, 2022 12:53 AM (GMT+8) · EqualOcean
Despite weeks of turmoil in the market, with both bonds and stock markets falling, Greg Jensen, CO chief investment officer of the world's largest hedge fund Jinqiao water fund, said the market was still "too optimistic" and investors had not adapted to the "long-term change" of rising inflation and slowing growth. Jensen warned in the latest podcast of odd lots that the Fed's interest rate hikes and shrinking its balance sheet in response to the highest inflation in decades are a toxic combination for asset prices. Despite the above changes in the market, Jensen said that investors were actually only prepared for a relatively smooth landing scenario in which the Fed could reduce inflation without triggering a recession.